The following is the balance sheet of Korver Supply Company at December 31, 2015.

The note payable is dated June 30, 2015 and is due on June 30, 2017. Interest at 10% is payable annually on June 30. Depreciation on the furniture and fixtures for the year is $23,000. The furniture and fixtures originally cost $330,000

Required:

Prepare a classified balance sheet at December 31, 2016 (ignore income taxes). (Amounts to be deducted should be indicated by a minus sign.)

KORVER SUPPLY COMPANY Balance Sheet At December 31, 2015 Assets $110,000 Cash 220,000 Accounts receivable 170,000 Inventories 130,000 Furniture and fixtures, net Total assets $630,000 Liabilities and Shareholders' Equity Accounts payable (for merchandise) $170,000 180,000 Note payable Interest payable 9.000 Common stock 130,000 Retained earnings 141.000 Total liabilities and shareholders' equity 630.000 Transactions during 2016 were as follows: $830,000 1. Sales to customers on account 810,000 2. Cash collected from customers 3. Purchase of merchandise on account 520,000 4. Cash payment to suppliers 530,000 5. Cost of merchandise sold 470,000 190,000 6. Cash paid for operating expenses 7. Cash paid for interest on note 18.000